A recent survey from Vanguard, based on responses from more than 1,000 U.S. women, indicates that while over 70% of respondents feel confident in their ability to save, a significant portion may be missing opportunities to optimize their cash holdings. The research, conducted in early 2025, found that 47% of women keep savings in accounts yielding less than 3%, and 20% report having no savings outside of retirement accounts.
Vanguard characterized this as a disconnect between women's financial goals and their actual savings behavior. "Savings are a crucial part of everyone's holistic financial strategy, and yet, the survey found a clear disconnect between women's overarching financial goals and how and where they save," said Sonia Fraher, head of cash management at Vanguard. She added that identifying this gap creates an opportunity to reassess strategies, particularly because compounded interest over time can significantly impact wealth.
Financial security ranked as the top savings objective among respondents, but competing demands often derail those plans. The survey identified top financial regrets, including unnecessary spending, delaying savings for major goals, and prioritizing financial support for family or friends over personal needs. Nearly half of respondents also admitted to tapping savings designated for one goal to cover unrelated expenses in the past year.
The findings align with broader industry trends. As noted in a recent UBS survey across 22 countries, many investors still value personalized guidance, which could help bridge such gaps. For advisors, this suggests an opportunity to engage clients who may be underutilizing cash management strategies.
The survey also explored what might encourage women to reconsider their savings approach. Trusted recommendations were the biggest catalyst for change, followed by access to more financial education and guidance from certified professionals. Younger respondents, particularly Gen Z, were especially influenced by recommendations from people they trust, while millennials were more likely to point to educational resources as a motivator.
Mothers appeared more receptive than the broader survey population to revisiting their savings strategies if they received additional information about available options. "I work with many women, particularly mothers, who are juggling competing priorities and often putting their own financial goals on hold," said Tiana Patillo, CFP, and financial advisor manager at Vanguard.
For advisors, the survey underscores the importance of addressing cash management as part of holistic financial planning. As firms consider evolving their talent strategies, integrating cash optimization into client conversations could differentiate advisory practices. The data also highlights a potential area for growth, as many women may benefit from more proactive guidance on savings vehicles.
Vanguard's research suggests that with targeted education and trusted advice, women can better align their savings habits with long-term goals, potentially improving overall financial well-being. The firm recommends that advisors help clients review where they hold cash and consider higher-yield options, especially in a rising rate environment.
